The terminals are distribution facilities for refined products consuming markets, and have approximately 9.5 million barrels of storage and associated infrastructure in the US.
Kinder Morgan and BP Products North America have also formed a joint venture limited liability company (JV) terminal business to own 14 of the acquired assets, which Kinder Morgan will operate and market on the JV’s behalf. The fifteenth terminal will be owned and operated solely by KMI.
In connection with the transaction, BP has entered into commercial agreements securing long-term storage and throughput capacity from the JV, which will market additional capacity to third-party customers.
Kinder Morgan owns a 75% interest in the JV, with BP owning the balance.